News

Wellington Market Update | December 2025

After a challenging 2025 for Wellington’s housing market, many buyers and sellers are asking the same question as the year draws to a close: are things finally starting to turn?

Two of Tommy’s Real Estate’s top agents, Chris Robinson and Alexia Stoddart, believe the signs are quietly encouraging, even if the recovery has been slow.

They describe the past year as a “gradual burn” and a market that has been “challenging for all parties concerned”.

“It’s been a trying market that has reacted swiftly to positive and negative news, and is just starting to pull through,” says Chris.

Alexia agrees, noting that both sides of the market have faced hurdles. “Buyers have had additional barriers from a finance perspective, and vendors have had to weather the storm in a city under significant economic pressure.”

Recent movements in interest rates have offered some relief. While the latest Official Cash Rate cut may not be a silver bullet, Chris says it’s certainly welcome. “Every little bit helps. With each piece of positive news, buyers are acting with a mix of caution and optimism.”

“As interest rates have stabilised, buyers are feeling more confident knowing they’re likely to be able to afford their homes in the years ahead,” he adds.

Alexia says lower mortgage rates can be the nudge many buyers need. “Improved affordability often encourages those sitting on the fence to consider buying now. There are also positive economic indicators pointing towards growth, which is helping shift buyer sentiment.”

As the market heads into the Christmas break, activity remains steady rather than spectacular – but the foundations for improvement are being laid.